Manufactured Home Financing
Manufactured homes (MH) deliver high-quality, affordable living. With MH residents seeing median monthly housing costs about 40% less than site-built, MH can help make homeownership achievable. Fannie Mae offers conventional financing for a variety of MH—from budget-friendly options to Manufactured Home Advantage™ (MH Advantage®) homes with site-built features—and help more homebuyers find a home that fits their needs.
MH Advantage: Expanding eligibility and easing origination
We’ve expanded access to MH Advantage financing and helped to address operational hurdles:
- We updated requirements to allow for single-width manufactured homes and homes with CHOICEHome® labels to qualify for MH Advantage financing.
- We now allow appraisers to use CHOICEHome®-eligible homes as comparable sales for MH Advantage-eligible homes.
LLPA Waiver Eligibility
Manufactured home loans might be eligible for LLPA waivers under the Duty to Serve program.
Why Choose Conventional MH Financing?
Cancellable Mortgage Insurance
Once a borrower hits 20% equity, they can cancel their mortgage insurance, saving them money over the life of their loan.
Broad eligibility
Borrowers with credit scores >/=620 are eligible.
Appreciation
The Urban Institute reviewed resale prices for conventionally financed MH between 2000 and 2024. The result? The MH appreciated in value at essentially the same rate as site-built homes. Read the report.
In case you missed it
We’re listening to feedback and turning it into results, breaking down barriers that make financing a manufactured home more complicated.
Planned unit developments (PUDs) with single-width units no longer need Project Eligibility Review Service (PERS) approval, making it even easier to finance single-width MH.
Offer loans for MH in leasehold estates in approved HOA or Condo projects.
Temporary interest rate buydowns, which allow sellers or other parties to temporarily reduce a borrower's interest rates, are now available for manufactured homes.
Community Land Trusts (CLTs) allow homebuyers to buy a home for less than the surrounding market, and MH makes this option more affordable.
We’re only requiring lenders to submit an Affidavit of Affixture when a loan is delivered with a personal property title, or if the state law requires a new Affidavit.
A Variety of Solutions
We've got a range of MH loan options to fit different needs. Take a look at the overview below, or dive into our full product matrix for more details.
MH Mortgages | Standard MHFor traditional single- and multi-width manufactured homes. Fact Sheet | MH AdvantageFor homes built to appeal to site-built borrowers. Fact Sheet |
|---|---|---|
| Minimum down payment | 5% | 3% |
Must be titled as real property | Yes | Yes |
| Design | Traditional single- and multi- width homes. | Single- and multi- width homes with features similar to site-built homes. |
Appraisals | Must include a minimum of two manufactured home comps. Additional requirements for single-width MH. | Must use MH Advantage comps if available. If fewer than three MH Advantage comps are AVAILABLE, appraisers MUST use a minimum of two site-built comps. |
| LLPA | 0.50%* | N/A |
| Temporary interest rate buydowns | Permitted on loans for Standard MH and MH Advantage (excluding cash-out refinances and investor properties). See buydown policies | |
MI Coverage | Varies from site-built homes. | Consistent with site-built homes. |
| Eligible home manufacturers | All manufacturers | See a list of MH Advantage Participating Manufacturers |
As of February 1, 2023, Fannie Mae will require that, in the absence of three MH Advantage homes, appraisers must include a minimum of two site-built homes as comparable sales in their appraisals for MH Advantage. View the Selling Guide Announcement.
*Loan Level Price Adjustments (LLPAs) are waived for homebuyers that meet certain income requirements and Duty to Serve loans. See the LLPA Matrix and Duty to Serve eligibility requirements for details.
Partnership Opportunities
Subdivisions
More and more builders and developers are jumping on the chance to offer affordable MH Advantage homes in subdivisions.
Community Land Trusts
Community Land Trusts, run by local governments and non-profits, let buyers purchase homes at below-market prices. They’re using MH to make homeownership even more affordable.
Conventional MH Financing is helping lenders grow their business
Helpful Resources
MH Financing Learning Center
Learn more about how modern manufactured homes provide growing business opportunity.
MH Advantage Fact Sheet
MH Advantage-eligible homes offer premium features that compete with site-built homes.
Standard MH Fact Sheet
Single- and multi-width manufactured homes provide borrowers with affordable housing options.
